Middle East State Giant Unveils Net-Zero Ambition by 2050, As Energy Transition Gathers Pace
11.29.2022 By Ella Keskin - NEWS

November 29, 2022 [Upstream Media] – Adnoc says its “net zero by 2050” ambition covers operational Scope 1 and 2 greenhouse gas emissions

 

Abu Dhabi National Oil Company (Adnoc) has highlighted its aim to achieve net zero Scope 1 and 2 emissions by 2050, in line with the wider target earlier announced by the government of the United Arab Emirates.

In a high-level meeting, the company’s board directed Adnoc to pursue “a net zero by 2050 ambition to support the UAE Net Zero by 2050 Strategic Initiative”, the company said on Monday.

Adnoc is the second key Persian Gulf oil and gas producer to announce a long-term drive towards net zero.

State-owned Saudi Aramco last year announced it is targeting net zero Scope 1 and 2 greenhouse gas emissions across its wholly-owned operating assets by 2050.

Middle East oil and gas giants are spending billions of dollars to scale up their production capacities, but are also preparing to invest heavily in energy transition initiatives, primarily led by hydrogen and carbon capture and storage projects.

Adnoc said that its net zero by 2050 goal “is underpinned by a continued focus on key decarbonisation levers of energy efficiency and operational excellence across the value chain, large scale implementation of carbon capture, utilisation and storage (CCUS) and the use of renewable energy sources”.

Low carbon solutions

The company added that, as part of its strategy, it will establish a new Low Carbon Solutions & International Growth division focused on new energies, gas, liquefied natural gas and chemicals.

Chief executive Sultan Ahmed al-Jaber said the company’s “net zero by 2050” goal is placing sustainability at the centre of Adnoc’s growth.

“The world needs maximum energy, minimum emissions and it needs all the energy solutions if we are to ensure global energy security,” he said.

Adnoc awards $4 billion worth of framework deals

Al-Jaber added that Adnoc “is committed to making today’s energy cleaner while investing in the clean energies of tomorrow to strengthen its position as a reliable and responsible energy provider”.

“As we deliver on these objectives, we will continue to drive greater and more sustainable value for the UAE, create opportunities for the private sector to benefit from Adnoc’s growth and enable more skilled job opportunities for UAE nationals,” he added.

Methane intensity

Adnoc recently set a new methane intensity target of 0.15% for its upstream operations by 2025, as the company aims to fast-track energy transition plans, while also expanding its oil and gas production capacities.

“The new target of 0.15% methane intensity reflects industry best practices that report total volume of upstream methane emissions from all operated upstream oil and gas assets and where emissions intensity is calculated as a percentage of the volume of total gas marketed,” Adnoc said.

While the company has announced its new methane intensity target for 2025, it did not reveal its current methane intensity for upstream operations.

Adnoc has previously highlighted its plans to reduce its greenhouse gas emissions intensity by 25% by 2030.

Significant investments

Adnoc has said it will be “making significant investments in new technologies” to improve its environmental performance and reduce its methane emissions.

The company previously stated that as part of its sustainability strategy, it plans to “test and deploy the latest in emissions detection and quantification technologies by 2023”.

National oil companies in the Middle East see themselves as under growing pressure from Western nations and international investors to speed up their energy transition, as they continue to spend billions of dollars on scaling up their oil production capacities.

 


Pro Trial: Access 11,340 Tank Terminal and Production Facilities

11,340 tank storage and production facilities as per the date of this article. Click on the button and register to get instant access to actionable tank storage industry data

Tanzania, UAE Firm Sign Petroleum Facility Deal
02.02.2023 - NEWS
February 2, 2022 [The Citizen] – The deal was signed by the Ministry of Energy and represen... Read More
Russia’s Oil Exports Rebound Ahead Of The EU Ban On Fuel Imports
02.02.2023 - NEWS
February 2, 2022 [OilPrice.com] – The upcoming EU ban on fuel imports from Russia, as well ... Read More
Marathon Petroleum Tops Profit Estimates on High Demand, Tight Supplies
02.02.2023 - NEWS
February 2, 2022 [Reuters] – Marathon Petroleum Corp (MPC.N) on Tuesday beat Wall Street ex... Read More
S. Korea to Build New LNG Terminal in Southern Industrial Town to Meet Increased Demands
02.02.2023 - NEWS
February 2, 2022 [Aju Business Daily] – South Korea will build a new liquefied natural gas ... Read More